The Enforcement Directorate (ED) on Monday questioned Unmesh Joshi, son of former Maharashtra chief minister Manohar Joshi, in connection with the ongoing investigation into a money-laundering case involving the Infrastructure Leasing & Financial Services (IL&FS) group. The agency has also summoned Maharashtra Navnirman Sena (MNS) chief Raj Thackeray for questioning on August 22.
The IL&FS group, whose dues amount to around ₹91,000 crore, was taken over by the Indian government late last year after it defaulted on some of its debt. Last week, the Reserve Bank of India submitted a report that said IL&FS may not have disclosed the bad loans on its books for years. The ED filed its first charge sheet last week under the provisions of the Prevention of Money Laundering Act (PMLA).
Kohinoor CTNL is being probed because it received loan and equity investments adding up to ₹860 crore from IL&FS. It was set up by Joshi, Thackeray and builder Ranjan Shirodkar in 2005. The ED is investigating how the money from IL&FS has been utilized by the company. “Investigations are on to check if there is any fund diversion of the loans acquired from IL&FS,” said a source privy to the probe. Shirodkar, who is the company’s chief financial officer, was questioned on August 16. ED sources stated that Joshi reached the ED office in south Mumbai along with his chartered accountant on Monday morning and was questioned for eight hours. He is likely to be questioned again. While entering the ED office, Joshi told the media that he had received the notice on Friday and would cooperate with the probe. The MNS has alleged the summons to Thackeray are politically-motivated.
ED sources stated Kohinoor CTNL allegedly defaulted on payments and the loan it acquired was given without adequate security. The IL&FS group had invested ₹225 crore in Kohinoor CTNL. The company constructed the building, ‘Kohinoor Square’, in Dadar, but the project was mired in litigation and suffered a slowdown. In 2008, IL&FS booked a loss by selling its Kohinoor CTNL shares for ₹90 crore, taking a hit of ₹135 crore. Thackeray also sold his shares in 2008. In 2011, Kohinoor CTNL entered into an agreement to sell certain premises of the skyscraper to IL&FS and settle the amount, but it defaulted again, as per the allegations. Following Kohinoor CTNL’s inability to repay its loans, Joshi lost control of the company to architectural firm Sandeep Shikre and Associates in January.
{{/usCountry}}ED sources stated Kohinoor CTNL allegedly defaulted on payments and the loan it acquired was given without adequate security. The IL&FS group had invested ₹225 crore in Kohinoor CTNL. The company constructed the building, ‘Kohinoor Square’, in Dadar, but the project was mired in litigation and suffered a slowdown. In 2008, IL&FS booked a loss by selling its Kohinoor CTNL shares for ₹90 crore, taking a hit of ₹135 crore. Thackeray also sold his shares in 2008. In 2011, Kohinoor CTNL entered into an agreement to sell certain premises of the skyscraper to IL&FS and settle the amount, but it defaulted again, as per the allegations. Following Kohinoor CTNL’s inability to repay its loans, Joshi lost control of the company to architectural firm Sandeep Shikre and Associates in January.
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